The European Commission has awarded €400 million ($465.7 million) to 65 industrial heat decarbonization projects across 10 European countries in its first Innovation Fund heat auction, targeting electrification and renewable heat technologies in energy-intensive industries.
May 25, 2026
The European Commission has selected 65 projects across 10 European countries to receive a combined €400 million in grants under the Innovation Fund's first industrial heat auction. The scheme is designed to accelerate the deployment of electrified and renewable heat technologies in energy-intensive industries.
The selected projects span Austria, Belgium, Czechia, Denmark, France, Germany, Hungary, Portugal, Slovenia, and Spain, and cover technologies including heat pumps, direct and indirect resistance heating, solar thermal, electromagnetic and dielectric heating, and hybrid systems. Industrial sectors represented include pulp and paper, glass, ceramics, construction materials, iron and steel, food and beverage, textiles, and pharmaceuticals – sectors the European Commission said have been underrepresented in Innovation Fund support to date.
Together, the 65 projects are expected to avoid more than 6.6 million tonnes of CO2 emissions over 10 years and produce approximately 16.3 TWh of decarbonized heat in their first five years of operation, based on a combined thermal capacity of 766 MW. The commission said this is equivalent to replacing more than 1.5 billion cubic meters of natural gas over five years.
